Business owners are constantly thinking about how to increase profits. They can do so by either making or saving money.
That said, the process isn’t as easy as putting spare change into a jar. Navigating through complex financials and taxes can be time consuming and sometimes mind boggling.
A qualified accountant can save you the trouble and provide solutions to maximise your business profits.
Below are 6 ways your accountant can make or save money for your business.
1. Planning your taxes
For many businesses, a significant portion of outgoing cash goes to taxes.
Your accountant will be able to spot the deductibles that you are eligible for as well as the tax incentives that you may have missed. They can provide tax planning advice and make sure you pay no more than you are legally obligated to.
2. Managing expenses
Your accountant will be able to analyse your business expenditure and identify payments that may be considered high according to industry standards.
They can also advise you on whether you can negotiate a better deal with suppliers.
Cutting such expenses from your business operations will benefit you greatly in the long run as it contributes to profit growth.
3. Forecasting business growth
By determining the key factors that affect financial growth in your industry and examining the variables in your business, your accountant will be able to predict your profits and the growth of your business.
They can build you a financial model and run different scenarios by manipulating the variables to get different outcomes. This will be extremely helpful in planning the next steps for your business.
4. Balancing cash flow
Be careful not to depend on your fixed assets for financial security. Having a sufficient amount of liquid assets is extremely important in being able to cover the cost of business operations, insurance, bills and payroll.
Get advice from your accountant on balancing the cash flow going in and out of your accounts to avoid having to worry about overdue payments.
5. Reviewing products or services
If your business offers various products or services, there is a chance that one or more of them may be performing less favourably than others.
Your accountant can analyse these products and services and provide you with an overview of how well or poorly each of them are performing. From there, you will be able to make an informed decision on how to optimise your profit.
6. Restructuring debt
If you find that the interest on your business loans is higher than normal or if you are having trouble paying off your debts, your accountant will be able to assist you with restructuring your debts.
Your accountant can look out for cheaper loan options that suit your business better while refinancing the existing debt to get a better deal.
Hire an accountant
At Aero Group, we care about your business and your financial health.
If you require any of the services mentioned above or if you have any inquiries, contact us now at 02 7208 5065 or email@example.com